It also provides community-based mental health services to over 20,000 probationers and parolees annually, and assists over 250 local courts with probation management services.

“GTCR’s extensive experience investing in both healthcare provider and payor businesses enabled us to develop a unique perspective on CHC and its growth opportunities going forward,” GTCR managing director David Katz said in the statement.

Latham & Watkins served as legal counsel to GTCR, while NXT Capital, CapitalSource, Bank of Ireland and Prospect Capital provided debt financing in connection with the deal.

The investment was made through the firm’s $3.25bn GTCR Fund X vehicle.

GTCR’s 2006-vintage Fund IX vehicle more than doubled its net IRR to over eight per cent in the first quarter of 2012 having recently moved into its exit stage, according to public disclosures in September from the Washington State Investment Board.

The firm is also understood to have hired Morgan Stanley to sell Fund IX’s aircraft maintenance services company Landmark Aviation, which it bought in 2007 alongside Platform Partners.